TRAI's Groundbreaking Spectrum Pricing for Satellite Internet Unveiled

The Telecom Regulatory Authority of India (TRAI) recommended a fee structure for satellite-based internet, including a 4% levy on operators' annual revenue. The strategy aims to expand services in underserved areas, with no additional charges in rural regions. DoT will finalize spectrum pricing for Cabinet approval.

The Telecom Regulatory Authority of India (TRAI) released recommendations on Friday regarding the pricing of spectrum for satellite-based internet services. It suggests a 4% annual revenue fee for operators such as Elon Musk's Starlink. An added Rs 500 charge is proposed for urban subscribers, while rural services face no additional levies.

TRAI recommends allocating satellite broadband spectrum for five years, extendable by two years. Charges of 4% of adjusted gross revenue are to apply to both geostationary and non-geostationary orbit operators, with a minimum annual spectrum charge of Rs 3,500 per MHz.

The Department of Telecommunications (DoT) will now approach the Cabinet for approval of spectrum pricing. This move follows discussions favoring administrative allocation of airwaves. These changes come as Starlink secures a LoI, advancing satellite internet access for underserved areas in India.

(With inputs from agencies.)